Table of Contents (5 sections)
India Makes Another Huge Bet on Smartphone Manufacturing
India already manufactures enormous numbers of smartphones.
Now the government wants to take the next step:
Build a stronger domestic mobile manufacturing ecosystem — and stronger Indian brands.
The government has notified a new ₹62,500-crore Mobile Phone Manufacturing Scheme (MPMS).
The five-year program is designed to encourage domestic production and deeper local sourcing.
How Big Is the Scheme?
The headline number is substantial:
₹62,500 crore.
The program is scheduled to run over five years, from FY2026-27 through FY2030-31.
Manufacturers can receive incentives linked to eligible sales of mobile phones made in India, with additional incentives designed to encourage local sourcing.
Why Local Sourcing Matters
Assembling a smartphone in India is one thing.
Building more of its value chain inside India is another.
Phones require displays, batteries, camera modules, printed circuit boards, mechanical components and numerous other parts.
